Purchasing used construction equipment is a great way to save money for your business. Rental fees add up fast and construction equipment purchased new can cost a pretty penny. Luckily, used construction equipment is a reliable and cost efficient way to acquire the construction equipment your business needs.
Buying used construction equipment allows you to avoid the initial depreciation of your piece of machinery. Like in the auto industry, construction equipment depreciates within its first year in use. A backhoe loader drops in value by 20 to 40 percent in the first days of use. This 100,000 dollar piece of equipment will become only 60,000 dollars after only a couple days of use. If you buy used equipment, the initial depreciation will have already taken place. You will purchase a piece of equipment and its value will most likely remain for a good period of time. This is great for you, as long as the equipment was maintained before it got to you. Furthermore, resale value for used construction equipment is adequate.
Because you are paying so much extra for a piece of equipment that has never been used before, buying used equipment has more value for your money. You are paying for the equipment itself, not just its shiny exterior and brand new label.
Buying used construction equipment also saves time. If you order construction equipment new, there is often a long wait time. Less time spent working will result in a loss for your business. If your project is of urgency, you may find yourself in a pickle waiting for your construction equipment to arrive. Often times, it can take months. Locating and purchasing used construction does not take nearly that much time. You will usually have access to the construction equipment as soon as you pay for it.
Buying used construction equipment can save up to and potentially over 50 percent of the money you would spend buying a new piece of equipment. Saving all of this money will increase your rate of profit, which allows you to spend your money on things that are more important like expanding your business, even purchased more used equipment.
Once you have decided to purchase used construction equipment as opposed to new equipment, you will have a lot of wiggle room in your budget. You can spend the money you save on one piece of equipment to buy another piece of equipment which will allow you to work twice as many jobs. You will also have more money to invest in the maintenance of your equipment which can keep the used equipment in good working condition.
If you are looking for a way to expand your business and currently purchase your construction equipment new, buying used construction equipment is a reliable and effective method of opening up room in your budget for expansion. If you can buy two pieces of equipment for the price of one, you can work twice as much or twice as fast. This will result in even more profit that can buy you even more equipment. Give us a call today if you are interested in purchasing used construction equipment or simply finding out more about the process.